A magnetoresistive element includes a first stacked structure formed by sequentially stacking a first fixed layer in which a magnetization direction is fixed and a first nonmagnetic layer, a second stacked structure formed on the first stacked structure by sequentially stacking a free layer in which a magnetization direction is changeable, a second nonmagnetic layer, and a second fixed layer in which a magnetization direction is fixed, and a circumferential wall formed in contact with a circumferential surface of the second stacked structure to surround the second stacked structure, and made of an insulator. A circumferential surface of the first stacked structure is substantially perpendicular. The second stacked structure has a tapered shape which narrows upward.